Six Reasons to Get Life Insurance Through Your Workplace

According to the 2020 Insurance Barometer study, interest in life insurance is at an all-time high.¹ With COVID-19 a likely motivator, employees are looking for more information on how to get life insurance through their employer as part of their benefits package.

Whether you don’t yet have life insurance or don’t have enough coverage, employer-offered coverage may be the flexible solution that fits your family’s needs. Here are a few reasons why:

1. In many cases, you won’t need to provide health details for coverage

Medical exams are often cited as a barrier to purchasing life insurance². Yet many employers offer “guaranteed-issue” coverage, which means employees can enroll in up to a pre-determined level of coverage without medical questions or exams (also known as providing "evidence of insurability"). It's important to note that when evidence of insurability is required, the insurance company will need to approve it before coverage becomes effective.

2. You can often continue coverage after leaving your employer

In many cases, employees can take the life insurance coverage they get through their employer with them if they leave that job. The employee will continue to pay the insurer directly for the coverage, but it will still be at a cost-effective group rate.

3. Your spouse or kids may also be eligible

For employees, life insurance is often thought of as protection for their own income. Yet it’s important to think beyond that: What would be the full impact of the loss of a spouse? For example, if your spouse is your family’s primary source of childcare, would you be able to pay for caregiving from your existing income? If a dependent passed away, could final medical bills and funeral costs be provided from existing savings? Access to spouse and dependent term coverage, typically without answering medical questions, provides an extra layer of life insurance protection for families.

4. Your dependents may be able to keep coverage as they grow

In most cases, dependents of employees won’t “age out” of their employer-offered life insurance coverage. When they reach their policy age limit, they’ll have the option to convert it to a whole life policy for coverage that can last for their entire lifetime with continued payments.

5. Your coverage may include additional benefits

The purchase of employer-offered life insurance often gives employees access to other programs designed to make difficult decisions easier, like will preparation, funeral planning and concierge services, travel assistance and an employee assistance program that can provide access to grief counseling and other needs.

6. You’ll be able to take advantage of payroll deduction

With automatic payroll deduction, you won’t have to worry about remembering to make premium payments. Maintaining this valuable coverage is made simple and convenient.

To learn more about the life insurance options available to you through your workplace, contact your employer.

This information is provided by Voya for your education only; it is not intended as investment advice. Please consult a financial professional before making an investment or insurance decision. Insurance products are issued by ReliaStar Life Insurance Company (Minneapolis, MN) and ReliaStar Life Insurance Company of New York (Woodbury, NY). Within the State of New York, only ReliaStar Life Insurance Company of New York is admitted, and its products issued. Both are members of the Voya® family of companies. Voya Employee Benefits is a division of both companies. Product availability and specific provisions may vary by state and employer's plan.

¹2020 Insurance Barometer Series, LIMRA, Life Happens